Which of the Following Could Affect(s) the Fixed Asset Turnover

Multiple Choice

Which of the following could affect(s) the fixed asset turnover ratio?

A) Firms often invest in fixed assets several periods before these assets generate sales from products manufactured in their plants or sold in their stores.
B) A low or decreasing rate of fixed asset turnover may indicate expanding firms preparing for future growth.
C) Firms anticipating a decline in product sales could cut back expenditures on fixed assets and increase the fixed asset turnover ratio.
D) All of the above.
E) None of the above.